Yes sir. Integrates your iPhone with your car. Depending on the options of your car, it can be as simple as using your steering wheel controls to change tracks to as complex as supporting video and album covers on the iDrive screen, + using your vehicle antenna to boost your cell phone's antenna as well as supporting "BMW Connected" apps (if you have this option).
This adapter is the more expensive "Media" adapter that supports all the features (Audio, Video, Data and Cell phone antenna boost). This adapter was over $400 when I purchased it. It also charges your phone and keeps the battery in the phone from overheating by blowing air on it